Fortress Biotech (FBIO) AI Stock Analysis

• Market Cap: $62.10M
• Dividend Yield: N/A
• Average Volume (3M): 188.08K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.78
• Revenue Growth: -32.11%
• EPS Growth: 88.12%
• Country: US
• Employees: 101
• Sector: Healthcare
• Sector Strength: 58
• Industry: Biotechnology
• EPS (TTM): N/A
• Shares Outstanding: 29,569,920
• 10 Day Avg. Volume: 228,808
• 30 Day Avg. Volume: 188,076
• PEG Ratio: -0.01
• Price to Book (P/B): 1.41
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -0.32
• Enterprise Value/Market Cap: 0.12
• Enterprise Value/Revenue: 0.03
• Enterprise Value/Gross Profit: 0.20
• Enterprise Value/Ebitda: -0.02
• 1Y Price Target: $10.00
• Price Target Upside: 440.54% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 53 Neutral
• Price Target: $2.00 ▲(8.11%Upside)

Fortress Biotech's overall stock score is primarily impacted by its weak financial performance, characterized by declining revenues and high leverage. While the technical analysis suggests short-term positive momentum, valuation concerns due to ongoing losses remain significant. The earnings call provides a mixed outlook with both strengths and challenges, and the recent merger with Sun Pharma offers a positive strategic development.

Fortress Biotech Business Overview & Revenue Model

Company Description

Fortress Biotech, Inc., a biopharmaceutical company, develops and commercializes pharmaceutical and biotechnology products. The company markets dermatology products, such as Ximino capsules to treat only inflammatory lesions of non-nodular moderate to severe acne vulgaris; Targadox for severe acne; Exelderm cream for ringworm and jock itch symptoms; Ceracade for dry skin conditions; Luxamend for dressing and managing wounds; and Accutane capsules for severe recalcitrant nodular acne. It also develops late stage product candidates, such as intravenous Tramadol for the treatment of post-operative acute pain; CUTX-101, an injection for the treatment of Menkes disease; MB-107 and MB-207 for the treatment of X-linked severe combined immunodeficiency; Cosibelimab for metastatic cancers; CK-101 for the treatment of patients with EGFR mutation-positive NSCLC; CAEL-101 for the treatment of amyloid light chain amyloidosis; Triplex vaccine for cytomegalovirus; and CEVA101 for the treatment of severe traumatic brain injury in adults and children. The company's early stage product candidates include MB-102 for blastic plasmacytoid dendritic cell neoplasm; MB-101 for glioblastoma; MB-104 for multiple myeloma and light chain amyloidosis; MB-106 for B-cell non-hodgkin lymphoma; MB-103 for GBM & metastatic breast cancer to brain; MB-108; MB-105 for prostate and pancreatic cancers; and BAER-101. Its preclinical product candidates comprise AAV-ATP7A gene therapy; AVTS-001 gene therapy; CK-103 BET inhibitor; CEVA-D and CEVA-102; CK-302, an anti-GITR; CK-303, an anti-CAIX; ConVax; and ONCOlogues, and oligonucleotide platform. It has collaboration arrangements with universities, research institutes, and pharmaceutical companies. The company was formerly known as Coronado Biosciences, Inc. and changed its name to Fortress Biotech, Inc. in April 2015. Fortress Biotech, Inc. was incorporated in 2006 and is based in Bay Harbor Island, New York.

How the Company Makes Money

Fortress Biotech generates revenue through a combination of product sales, royalties, and milestone payments. The company collaborates with a number of subsidiary and partner companies to advance its drug candidates. Revenue is primarily derived from the commercialization of approved products, which are marketed and sold either directly by Fortress or through its subsidiaries and partners. Additionally, Fortress earns milestone payments and royalties from its strategic partnerships and licensing agreements with other biopharmaceutical companies. These partnerships often involve co-development and commercialization arrangements where Fortress leverages its expertise and resources to bring innovative therapies to market.

Fortress Biotech Financial Statement Overview

Summary

Fortress Biotech exhibits financial instability with declining revenues, persistent losses, and high leverage. Despite a high gross profit margin, the company faces negative profitability metrics, potential liquidity and solvency risks due to high debt levels, and insufficient cash flows to cover operational needs.

Income Statement

Fortress Biotech has experienced a challenging financial period with declining revenues from 2023 to 2024, and persistent net losses. The gross profit margin remains positive at approximately 100% due to negligible cost of goods sold, but the company faces a negative EBIT and EBITDA margin, indicating operational inefficiencies. The net profit margin is significantly negative, reflecting high net losses relative to total revenue. Revenue growth was negative in the latest year, indicating a contraction in sales.

Balance Sheet

The balance sheet shows high leverage with a debt-to-equity ratio indicating significant reliance on debt financing. Stockholders' equity has decreased over time, impacting the equity ratio negatively. The return on equity is negative due to continuous net losses, suggesting poor return on shareholders' investments. The current debt levels could pose a risk if profitability does not improve.

Cash Flow

The cash flow analysis reveals negative operating cash flows, indicating that the company is not generating sufficient cash from operations to cover its expenses. Free cash flow is also negative, pointing to challenges in creating value for shareholders. The operating cash flow to net income ratio is unfavorable due to significant cash outflows and net losses.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
57.78M	57.67M	84.51M	75.74M	68.79M	45.60M
	Gross Profit
38.93M	36.80M	61.62M	44.97M	36.71M	31.00M
	EBIT
-96.03M	-110.38M	-142.34M	-203.56M	-179.00M	-94.27M
	EBITDA
-88.31M	-104.49M	-135.72M	-190.47M	-142.25M	-87.82M
	Net Income Common Stockholders
-41.16M	-46.00M	-60.64M	-86.58M	-164.83M	-102.98M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
91.34M	57.26M	80.93M	178.27M	305.74M	233.35M
	Total Assets
178.07M	144.22M	167.53M	294.30M	396.50M	328.83M
	Total Debt
74.24M	75.96M	88.59M	127.34M	74.98M	89.08M
	Net Debt
-17.10M	18.70M	7.67M	-50.92M	-230.77M	-144.28M
	Total Liabilities
145.59M	145.87M	165.94M	244.28M	170.63M	131.84M
	Stockholders Equity
22.25M	22.74M	22.54M	41.72M	108.67M	100.34M
Cash Flow		Free Cash Flow
-69.80M	-95.19M	-136.32M	-182.46M	-132.89M	-90.85M
	Operating Cash Flow
-54.80M	-80.19M	-128.22M	-179.40M	-116.54M	-83.68M
	Investing Cash Flow
-15.00M	-15.00M	-2.10M	-22.93M	40.51M	-7.16M
	Financing Cash Flow
94.92M	70.64M	32.74M	75.32M	148.99M	172.41M

Fortress Biotech Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 1.85
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FBIO, the sentiment is Neutral. The current price of 1.85 is below the 20-day moving average (MA) of 1.88, above the 50-day MA of 1.72, and above the 200-day MA of 1.77, indicating a neutral trend. The MACD of 0.07 indicates Positive momentum. The RSI at 49.27 is Neutral, neither overbought nor oversold. The STOCH value of 49.21 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for FBIO.

Fortress Biotech Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	54 Neutral	$5.41B	3.27	-45.10%	3.29%	16.81%	0.02%
FBIO	53 Neutral	$62.10M	―	-181.84%	―	-32.11%	88.12%
DTIL	51 Neutral	$56.22M	2.40	-50.81%	―	-11.11%	79.74%
BLUE	51 Neutral	$48.67M	―	-546.55%	―	127.51%	56.94%
MAIA	44 Neutral	$53.04M	―	-1131.02%	―	―	23.55%
CYCC	38 Underperform	$7.03M	―	-1949.77%	―	-89.76%	80.28%
IMRX	27 Underperform	$76.29M	―	-102.48%	―	―	-7.78%

Fortress Biotech Corporate Events

Fortress Biotech’s Subsidiary Merges with Sun Pharma

On May 30, 2025, Fortress Biotech‘s subsidiary, Checkpoint Therapeutics, merged with Sun Pharmaceutical Industries, resulting in Checkpoint becoming a wholly-owned subsidiary of Sun Pharma and deconsolidated from Fortress. This transaction provides Fortress with $28 million in cash and potential additional earnings through a regulatory milestone and royalty payments, impacting its financial structure and future revenue streams.

The most recent analyst rating on (FBIO) stock is a Buy with a $15.00 price target. To see the full list of analyst forecasts on Fortress Biotech stock, see the FBIO Stock Forecast page.

Fortress Biotech Board Member Resigns for New Role

On April 15, 2025, Lucy Lu, M.D., resigned from the Board of Directors of Fortress Biotech, Inc. to assume the role of Chief Strategy Officer starting April 21, 2025. Her resignation was not due to any disagreements with the company’s operations, policies, or practices.